Question

What is the purpose of reviewing acceptances in reinsurance business?

a.

To ensure timely availability of acceptances.

b.

To assess historical exchange of results.

c.

To validate assumptions made during the acceptance process.

d.

To reconcile statistics with reinsurance accounts.

Answer: (c).To validate assumptions made during the acceptance process. Explanation:The purpose of reviewing acceptances in reinsurance business is to validate assumptions made during the acceptance process. This review helps ensure that the initial decisions regarding risks, exposures, rates, and other factors were accurate and appropriate.

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Q. What is the purpose of reviewing acceptances in reinsurance business?

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